SOURCE: Composite Technology Corporation

August 04, 2008 08:05 ET

Composite Technology Announces New ACCC Conductor Distribution Agreement With Lamifil

IRVINE, CA--(Marketwire - August 4, 2008) - Composite Technology Corporation (CTC) (OTCBB: CPTC) is pleased to announce the signature of an agreement under which Lamifil n.v. will manufacture and sell ACCC conductors in Europe.

"Lamifil has been manufacturing ACCC conductors for CTC since late 2006," stated Charly Verheyden, Managing Director of Lamifil. "Since then we have designed several new sizes of conductor and have delivered over 1,000 kilometers of ACCC conductor worldwide. It is with pleasure that Lamifil will now add ACCC conductors to its range of high conductivity and high temperature conductors."

Lamifil has already received its first orders for ACCC conductor under the terms of this new agreement. Lamifil will sell an initial 57 kilometers of ACCC 380 Amsterdam to a utility in Spain and a further 125 kilometers of ACCC 325 Lisbon conductor to Elia Asset NV for re-conductoring of the Mol-Beringen line in Belgium. The proprietary core will be manufactured by CTC Cable in Irvine and then shipped to Lamifil for stranding. The project installation in Spain is scheduled to commence in early August 2008 and the Belgian installation to commence in the first quarter of 2009.

"The signature of this new agreement represents an important step towards expansion in the European market with a high quality product delivered in Europe to our European customers," said Dominic Majendie, Vice President International Marketing for CTC Cable. "Most utilities in Europe must increase transmission capacity but must now also increase energy efficiency. Using conventional conductors, the solution to one of these problems makes the other significantly worse. Using ACCC conductors will reduce losses and increase current carrying capacity. We are pleased to offer a range of European ACCC conductors in Europe to support the needs of European transmission and distribution asset managers."

Under the agreement, Lamifil will continue to support CTC with stranding services to enable CTC to offer ACCC conductors in the international markets.

About Lamifil:

Founded in 1929 and manufacturing continuously from the same location at Hemiksem near the Port of Antwerp in Belgium, Lamifil n.v. develops, produces and sells high quality and specialized copper and aluminum as well as aluminum alloy and copper alloy wire and conductors. Targeting principally electrical utilities and railways, its wire rod, drawn wire, sector shaped wire and conductors are designed to improve efficiency and capacity as well as to solve customer difficulties and to fulfill their needs.

Lamifil produces a range of overhead conductors for electrical transmission and distribution networks including a range of high conductivity All Aluminum Alloy Conductors (AAAC); high temperature low sag Gap conductors and the new high efficiency Aluminum Conductor Composite Core (ACCC) conductors. Lamifil also produces a full range of high speed railway overhead electrification systems including those based on copper, copper silver, copper magnesium, copper tin and copper cadmium alloys.

The powerful combination of innovative technology, many years of experience and advanced know-how has made Lamifil one of Europe's biggest, independent aluminum wire and conductor manufacturers, as well as a prominent supplier of copper alloys and railway electrification products.

For further information visit the Lamifil website: www.lamifil.com. All enquiries contact: Charly Verheyden, +32-3-870 0613.

About CTC:

Composite Technology Corporation, based in Irvine, California, USA, develops, manufactures and sells innovative high performance electrical transmission and renewable energy generation products through its subsidiaries:

--  CTC Cable Corporation produces composite rod for use in its patented
    ACCC* (Aluminum Conductor Composite Core) conductors, which are "high
    efficiency conductors" for use in electrical transmission grid systems.
    ACCC conductors demonstrate less electricity line losses when compared with
    conventional conductors and when deployed in place of conventional
    conductors on existing systems, the higher efficiency of ACCC conductors
    enables power generators to reduce the amount of power they must generate
    while still delivering the same power to the customers.  They have also
    demonstrated significant savings in upgrade capital costs and operating
    expenses when substituted in grid systems for other conductors. ACCC
    conductors enable grid operators to reduce blackouts and brownouts,
    providing a 'reserve electrical capacity' by operating at higher
    temperatures without significant thermal sag of the lines. ACCC conductors
    are an innovative economical solution for reconductoring power lines,
    constructing new lines and crossing large spans. ACCC composite core is
    delivered to qualified conductor manufacturers worldwide for local ACCC
    conductor production and resale into local markets.
    
--  DeWind Inc. designs, produces, and sells the DeWind series of wind
    energy turbines, including the new 2 megawatt (MW) D8.2 model available in
    both 60Hz and 50Hz; the 2MW D8 model in 50Hz; and the 1.25MW D6 model in
    50Hz. The new D8.2 has been operating since early 2007 at Cuxhaven,
    Germany, and utilizes the advanced WinDrive® hydrodynamic torque
    converter developed by Voith AG in combination with a synchronous AC
    generator with high voltage output that is connected directly to the grid
    without the use of power conversion electronics. The first 60Hz D8.2 is now
    operating at Sweetwater, Texas, where it will initially be used for
    demonstration to North American customers. DeWind D8.2 turbines are now
    being assembled at TECO Westinghouse Motor Co., in Texas for our North and
    South American customers.
    

*ACCC is a trademark of CTC Cable Corporation

For further information visit our website: www.compositetechcorp.com. Investor Relations Contact: James Carswell, +1-949-428-8500.

This press release may contain forward-looking statements, as defined in the Securities Reform Act of 1995 (the "Reform Act"). The safe harbor for forward-looking statements provided to companies by the Reform Act does not apply to Composite Technology Corporation (the "Company"). However, actual events or results may differ from the Company's expectations on a negative or positive basis and are subject to a number of known and unknown risks and uncertainties including, but not limited to, competition with larger companies, development of and demand for a new technology, risks associated with a startup company, the ability of the company to convert quotations and framework agreements into firm orders, our customers' fulfillment of payment obligations under the respective supply agreement, our ability to deliver reliable turbines on a timely basis, general economic conditions, the availability of funds for capital expenditure by customers, availability of timely financing, cash flow, securing sufficient quantities of essential raw materials, timely delivery by suppliers, ability to produce the turbines and acquire their components, ability to maintain quality control, collection-related and currency risks from international transactions, the successful outcome of joint venture negotiations, or the Company's ability to manage growth. Other risk factors attributable to the Company's business may affect the actual results achieved by the Company, including those that are found in the Company's Annual Report filed with the SEC on Form 10-K for fiscal year ended September 30, 2007 and subsequent Quarterly Reports on Form 10-Q and subsequent Current Reports filed on Form 8-K that will be included with or prior to the filing of the Company's next Quarterly or Annual Report.

Contact Information

  • Investor Relations Contact:
    James Carswell
    +1-949-428-8500